Accounting, Bookkeeping, Income Tax Preparation, And Consulting Forum

IF YOU GET A CALL LIKE THIS OR FROM THIS NUMBER FROM THE “CRA” OR THE “CANADA REVENUE AGENCY” DO NOT CALL BACK OR GIVE THEM ANY PERSONAL INFORMATION. ITS A SCAM. Report to your local police department.

Heads up folks…THE CRA will never call threatening you with jail time etc. I did go to the CRA site but they don’t make it easy to report at all. There are a bunch of loopholes they want you jumping through just to report. This is the second time these Fraudsters have called each with a different number. So BE on the LOOKOUT! I tried to keep them on the phone as long as possible to see what information I could get. Anyway maybe someone will see this and do something about it. Can’t imagine how many people they’ve done [More]

The following is now available on the CRA Web site: News release Ottawa, Ontario, November 1, 2010… The Canada Revenue Agency announced today that the maximum pensionable earnings under the Canada Pension Plan (CPP) for 2011 will be $48,300—up from $47,200 in 2010. The new ceiling was calculated according to a CPP legislated formula that takes into account the growth in average weekly wages and salaries in Canada. Contributors who earn more than $48,300 in 2011 are not required or permitted to make additional contributions to the CPP. The basic exemption amount for 2011 remains $3,500. Individuals who earn less [More]

Here is an interesting video on YouTube .. * YouTube Description What Canadians need to know and fear about the Canada Revenue Agency Source: http://www.youtube.com/v/3XJRMc0RUBM?f=videos&app=youtube_gdata

The following is now available on the CRA Web site: News Release: FEDERAL TAX: “Individuals and businesses can now pay their taxes online” – Jean-Pierre Blackburn Jonquiere, Quebec, October 2, 2009 … The Honourable Jean-Pierre Blackburn, Minister of National Revenue and Minister of State (Agriculture and Agri-Food), announced the launch of a new online service at the Canada Revenue Agency (CRA). “Taxpayers and businesses can now send payments to the Canada Revenue Agency instantly from their accounts at participating financial institutions using the new My Payment service,” said Minister Blackburn. “This new service is yet another achievement aimed at reducing [More]

The following is now available on the CRA Web site: Did you know… Starting January 2010, if you submit more than 50 original information returns (slips), you will be required to file electronically using the Internet. This means that if you previously filed returns on paper, DVD, CD, or diskette, you must now file over the Internet. To assist filers in meeting the new requirements, the Canada Revenue Agency (CRA) will be increasing the file size for its secure Internet file transfer (XML) service from 20 megabytes to 150 megabytes. For T4 returns, filers will be able to send approximately [More]

The following is now available on the CRA Web site: Did you know… The non-refundable Home Renovation Tax Credit (HRTC) is based on eligible expenses for work performed or goods acquired after January 27, 2009, and before February 1, 2010, in respect of an eligible dwelling, pursuant to an agreement entered into after January 27, 2009. Canadian homeowners should be aware of the deadline to ensure they are able to claim the non-refundable tax credit of up to $1,350 for their home renovation or alteration. Eligible expenses for goods acquired during this period, even if they are installed after January [More]

The following is now available on the CRA Web site: News release Ottawa, Ontario, November 3, 2009… The Canada Revenue Agency (CRA) announced today that the maximum pensionable earnings under the Canada Pension Plan (CPP) for 2010 will be $47,200—up from $46,300 in 2009. The new ceiling was calculated according to a CPP legislated formula that takes into account the growth in average weekly wages and salaries in Canada. Contributors who earn more than $47,200 in 2010 are not required or permitted to make additional contributions to the CPP. The basic exemption amount for 2010 remains $3,500. Individuals who earn [More]

The following is now available on the CRA Web site: Did you know… For tax years ending after 2009, it will be mandatory for corporations with gross revenues exceeding $1 million to file their T2 corporation returns via the Internet. It is important to note that penalties will be applied to tax years ending after 2010 if you do not file your T2 corporation return using the Internet. Corporations with gross revenues of less than $1 million are strongly encouraged to submit their corporation returns electronically, even if it is not mandatory. Corporations filing over the Internet can benefit from [More]

Yes .. I thought that would get your attention .. (the title of this post) .. the audits begin at the end of the summer of 2009! The following information is available on the CRA Web site. “eBay sellers must declare all income for tax purposes,” states Minister Blackburn News release Ottawa, Ontario, July 30, 2009… The Honourable Jean-Pierre Blackburn, Minister of National Revenue and Minister of State (Agriculture and Agri-Food), advises Canadians that the income they earn online is taxable. “Taxpayers should know that the tax laws that apply to traditional commerce apply in the same way to electronic [More]

Flaherty Welcomes Earlier Tax Freedom Day The following News Release or Speech has just been posted on the Finance Canada Site. Ottawa, June 6, 2009 2009-056 OTTAWA – June 6, 2009 – The Honourable Jim Flaherty, Minister of Finance, was pleased to welcome Tax Freedom Day today, as it occurs three days earlier in 2009 than in 2008. Calculated each year by the Fraser Institute, Tax Freedom Day marks the day to which the average Canadian had to work to pay their total tax bill. In 2009, the Fraser Institute has calculated that Tax Freedom Day is today—June 6th. In [More]

The following is now available on the CRA Web site: Nineteen-year-old Max moved from Calgary to study full-time at the University of Ottawa on August 15, 2008. Although he received a scholarship, he decided to get a job at the local grocery store to earn some pocket money during the school year. Max has taken the course “Responsible Citizenship and Canada’s Tax System.” This course is provided to educators by the Canada Revenue Agency (CRA). If you are a student like Max, you must file an income tax and benefit return for 2008 since you have to pay taxes, are [More]

In case you were unaware, interest rates went down for Q2 … The following is now available on the CRA Web site: News release Ottawa, Ontario, March 4, 2009… The Canada Revenue Agency (CRA) today announced the prescribed annual interest rates that will apply to any amounts owed to the CRA and to any amounts the CRA owes to individuals and corporations. These rates are calculated quarterly in accordance with applicable legislation and will be in effect from April 1 to June 30, 2009. Income tax * The interest rate charged on overdue taxes, Canada Pension Plan contributions, and Employment [More]

PART I Victoria, British Columbia, February 16, 2009… The Honourable Jean-Pierre Blackburn, Minister of National Revenue and Minister of State (Agriculture), was in Victoria today to announce the launch of the Government of Canada advertising campaign and to inform Canadians of the steps the Government is taking to provide them with tax relief. “Reducing taxes stimulates the economy and helps build a solid foundation for future economic growth. We want to ensure Canadians have the information they need to take advantage of the tax savings that can help put money back in their pockets during these difficult economic times,” said [More]

The following is now available on the CRA Web site: Tax Tip The Canada Revenue Agency (CRA) offers a full range of tax-related services for Canadian seniors. For example, Annette had a simple tax situation in 2008 and was able to meet with a volunteer from the Community Volunteer Income Tax Program (CVITP) to assist her in preparing her income tax and benefit return. With the help of the CVITP, Annette learned about the following benefits, non-refundable tax credits, electronic services, and payment methods. Benefits There are a number of tax measures that may be of interest to Canadian seniors. [More]

The Underground Economy: Not Your Problem? .. How thoughtful … CRA has extended this video contest to expire on April 30, 2009 – the deadline date when most Canadians have to file their income tax return on time … The following is now available on the CRA Web site: News release Minister Jean-Pierre Blackburn invites Algonquin College students to speak up about the underground economy Ottawa, Ontario, February 12, 2009 . . . The Honourable Jean-Pierre Blackburn, Minister of National Revenue, met with students at Algonquin College to discuss the negative impact of the underground economy, and encourage them and [More]

The following is now available on the CRA Web site: Did You Know … hat you can file your T4 information return electronically from the convenience of your computer? Be part of the paperless filing solution and eliminate the need to send paper copies of your T4 slips and summary to the Canada Revenue Agency (CRA). File online and receive electronic confirmation that your return has been received by the CRA, and save on printing and mailing costs. If you used our fillable or blank T4 slips last year, save time and effort by using the T4 Web forms or [More]

The following is now available on the CRA Web site: Did you know… That the Canada Revenue Agency (CRA) continues to improve its suite of online tools to assist Canadian employers with their payroll obligations? A new interactive questionnaire is available to help employers determine whether the parking they provide to employees is considered a taxable benefit. To access the questionnaire or for more information on parking as a taxable benefit, go to http://www.cra.gc.ca/payroll and select “P” from the drop-down menu for “Parking.” Employers continue to use the Automobile Benefits Online Calculator to determine the taxable benefit attributable to employees [More]

The following News Release or Speech has just been posted on the Finance Canada Site. Ottawa, February 2, 2009 2009-014 The Honourable Jim Flaherty, Minister of Finance, today tabled in the House of Commons a detailed Notice of Ways and Means Motion to implement Budget 2009 measures. The Notice also includes provisions referenced in Budget 2009 to implement most remaining tax measures from the February 26, 2008 budget as well as the November 27, 2008 Economic and Fiscal Statement. “Canada’s Economic Action Plan is a comprehensive plan to stimulate economic growth, restore confidence and support Canadians and their families during [More]

The following is now available on the CRA Web site: News release Ottawa, Ontario, February 2, 2009… The Honourable Jean-Pierre Blackburn, Minister of National Revenue and Minister John Baird, Canada’s Minister of Infrastructure, Transportation and Communities and Member of Parliament for Ottawa West – Nepean, highlighted key initiatives from Budget 2009: Canada’s Economic Action Plan that will benefit first-time home buyers. Canada’s Economic Action Plan supports the Canadian home construction and real estate industries, with a First-Time Home Buyers’ tax credit that will provide up to $750 in tax relief to first-time home buyers; and an increase in the amount [More]

The following News Release or Speech has just been posted on the Finance Canada Site. Ottawa, January 2 2009 2009-001 Ottawa (Ontario), January 2, 2009. The Honourable Jim Flaherty, Minister of Finance, the Honourable Jean-Pierre Blackburn, Minister of National Revenue and Minister of State (Agriculture), and Mr. Peter Aceto, President and CEO of ING DIRECT Canada, today welcomed the availability of the new Tax-Free Savings Account (TFSA) introduced by the Government of Canada in the 2008 Budget. “The Tax-Free Savings Account is the single most important personal savings vehicle since the introduction of the RRSP,” said Minister Flaherty. “It will [More]

The following News Release or Speech has just been posted on the Finance Canada Site. Ottawa, December 30, 2008 2008-114 The Honourable Jim Flaherty, Minister of Finance, announced today that the automobile expense deduction limits and prescribed rates for the automobile operating expense benefit that applied in 2008 will apply in 2009. Specifically: * The ceiling on the capital cost of passenger vehicles for capital cost allowance (CCA) purposes will remain at $30,000 (plus applicable federal and provincial sales taxes) for purchases after 2008. This ceiling restricts the cost of a vehicle on which CCA may be claimed for business [More]

The following News Release or Speech has just been posted on the Finance Canada Site. Backgrounder   Measure Effective Date Details Personal Income Tax Measures 1 Tax-Free Savings Account January 1, 2009 The Tax-Free Savings Account announced in Budget 2008 is a flexible savings vehicle that allows Canadians to contribute up to $5,000 per year to the account, with unused contribution room being carried forward. Investment income, including capital gains, earned within the account will not be taxed, and withdrawals will be tax-free. 2 Registered Retirement Income Funds (RRIFs) Applies to 2008 taxation year only The 2008 Economic and Fiscal Statement proposed [More]

The following is now available on the CRA Web site: (in case you missed this earlier) News release Ottawa, Ontario, December 11, 2008… The Honourable Jean-Pierre Blackburn, Minister of National Revenue, announced today that the Canada Revenue Agency (CRA) will follow its longstanding practice by facilitating the use by taxpayers of tax measures proposed in the 2008 Economic and Fiscal Statement. “In light of prorogation of Parliament, many seniors and financial institutions are seeking confirmation that they can act upon the government’s proposal in the 2008 Economic and Fiscal Statement to reduce the registered retirement income fund (RRIF) minimum withdrawal [More]

The following is now available on the CRA Web site: Tax Alert The Canada Revenue Agency (CRA) is aware that electronic sales suppression software is currently being marketed and sold to Canadian businesses. Business owners are reminded that hiding income to evade taxes is against the law. Using this software is not worth the risk. Electronic sales suppression software is designed to work with point-of-sale systems and electronic cash registers. Businesses use the software to delete a portion of sales from their computer records to evade payment of income and sales taxes. In some cases, restaurant owners who suppressed sales [More]

The following is now available on the CRA Web site Fact Sheet Each year, certain personal income tax amounts are indexed to inflation using the Consumer Price Index data as reported by Statistics Canada. Increases to tax bracket thresholds, amounts relating to non‑refundable credits, and most other amounts will take effect on January 1, 2009. However, increases to the Canada Child Tax Benefit (including the National Child Benefit Supplement and the Child Disability Benefit) and the goods and services tax credit will take effect on July 1, 2009, to coincide with the beginning of the program year for payment of [More]

I will be giving you the generalized version, but here is the thing with Canada Revenue Agency and if you owe Income Taxes: Unless you make less than you did in the following year .. you are required to remit at least the amount you owed in the previous year – in advance – as instalments for the current and future taxation year. If you end up owing MORE taxes next year, than you did last year .. you are only required to remit up to the amount you owed last year. If you end up owing LESS taxes next [More]

The following is now available on the CRA Web site: Did you know… The Canada Revenue Agency (CRA) and the Ontario Ministry of Revenue have announced a single system for corporate tax filing in Ontario, which will save Ontario businesses up to $100 million in total administrative costs each year. Starting in 2009, the CRA will administer Ontario’s corporate income tax, corporate minimum tax, capital tax, and special additional tax on life insurers, as well as the Ontario Corporations Information Act Annual Return, which will be included in a single T2 tax return. This means that Ontario businesses will benefit [More]

The following is now available on the CRA Web site: Did you know… That you should notify the Canada Revenue Agency (CRA) when directors of your corporation change? Avoid the possibility of service delays by ensuring that information on the incoming directors is added to our system and information on the outgoing directors is removed. Once the information has been updated, the new directors will be able to speak with CRA agents on the phone and submit written requests, such as Form RC59, Business Consent Form, on behalf of their corporation. Directors can also have online access to their business’s [More]

The following News Release or Speech has just been posted on the Finance Canada Site. Ottawa, November 20, 2008 2008-093 The Minister of Finance today sent the following open letter to federally regulated financial institutions regarding minimum withdrawal requirements for Registered Retirement Income Funds. Dear ______: I am writing to seek your cooperation on an important issue for Canadian seniors, withdrawals from Registered Retirement Income Funds. Many seniors are understandably concerned about the impact of the recent deterioration in market conditions on their financial security and I believe it is important to ensure that they do not face undue obstacles [More]

The following is now available on the CRA Web site: News release Ottawa, Ontario, November 17, 2008… The Honourable Jean-Pierre Blackburn, Minister of National Revenue, announced today that the Canada Revenue Agency (CRA) is encouraging Canadian research by making it easier for businesses to apply for the scientific research and experimental development (SR&ED) tax credit. Minister Blackburn also launched the SR&ED Eligibility Self-Assessment Tool. “By making it easier to apply for SR&ED tax credits, the CRA is supporting businesses that are key to the long-term growth of the Canadian economy, that are providing quality jobs, and that are helping Canada [More]

The following News Release or Speech has just been posted on the Finance Canada Site. Ottawa, November 14, 2008 2008-092 The Honourable Jim Flaherty, Minister of Finance, and the Honourable Diane Finley, Minister of Human Resources and Skills Development, today welcomed the Canada Employment Insurance Commission’s decision to hold the Employment Insurance (EI) premium rate for 2009 unchanged at $1.73, its lowest level in 15 years. “Given the current challenges posed by global economic instability, Canadian workers and businesses appreciate that now is not the time for raising premium rates,” said Minister Flaherty. “Rather, it is time to secure Canada’s [More]

The following is now available on the CRA Web site: News release Ottawa, November 3, 2008… The Canada Revenue Agency announced today that the maximum pensionable earnings under the Canada Pension Plan (CPP) for 2009 will be $46,300—up from $44,900 in 2008. The new maximum pensionable earnings amount was calculated according to a CPP legislated formula that takes into account the growth in average weekly wages and salaries in Canada. Contributors who will earn more than $46,300 in 2009 will not be required or permitted to make additional contributions to the CPP. The basic exemption amount for 2009 remains $3,500. [More]